Grameen

Grameen, a Bengali word meaning village or rural community, refers to a family of microfinance and social‑business institutions founded in Bangladesh. The flagship organization is Grameen Bank, established to provide credit to the rural poor, especially women, with the goal of enabling entrepreneurship, boosting incomes, and reducing poverty. The Grameen concept has inspired similar programs worldwide through affiliated networks and partner organizations.

History: In 1976, Muhammad Yunus, then an economics professor at the University of Chittagong, piloted small loans in Jobra, a coastal village. The effort evolved into Grameen Bank in 1983, as a state‑supported microfinance bank under the Bangladesh government. The bank expanded to serve millions of borrowers and won the Nobel Peace Prize in 2006 along with Yunus.

Model: The Grameen approach centers on collateral‑free loans to the rural poor, with an emphasis on women. Borrowers form small groups; loan repayment is based on peer support and regular weekly installments. The program prioritizes productive uses, financial inclusion, and social development metrics, while operating on a largely self‑financing financial model.

Impact and criticism: Grameen's scale has been cited as a major factor in expanding access to credit and empowering women, though researchers debate its long‑term effects on poverty, with critiques about interest rates, debt, and the sustainability of impact. The Grameen network has also expanded internationally through partnerships and spin‑off ventures.

Related ventures: Beyond Grameen Bank, the Grameen umbrella includes social businesses such as Grameen Telecom, Grameen Danone, and international affiliates. The Grameen model is commonly described as combining microfinance with social development and entrepreneurship.